Top Energy Companies
Energy stocks are broadly lower with the NYSE Energy Sector
Index down 2.88% this afternoon while the S&P Energy Index is
off 2.97% following reports finding manufacturing activity
throughout the world continues to slow. Crude oil for August
delivery is down $1.71, or over 2%, at $79.74 a barrel. July
natural gas is up another 10 cents to $2.62 per 1 million BTU.
In company news, Chesapeake Energy Corp (
) shares are down about 3% today with the natural gas supplier
selecting former Conoco (
) CEO Archie Dunham to be its non-executive board chairman.
Dunham succeeds CHK Chief Executive Aubrey McClendon, who will
remain a director but opted to relinquish his chairman duties under
fire after borrowings using his personal stake in the company's
wells as collateral came to light. The controversy spread to other
board members, with the company agreeing to allow activist investor
Carl Icahn and Southeastern Asset Management -- CHK's largest
individual shareholder with a 13.9% stake -- to choose four new
In a statement, Icahn said, "We believe Chesapeake is now
heading in the right direction."
Separately, Chinese oil and gas company Sinopec Corp (
) - also down 3% - reportedly is contemplating a multibillion bid
for selected CHK assets. Sinopec Chief Executive Fu Chengyu was in
Oklahoma earlier this week to perform due diligence ahead of a
formal offer, people familiar with the situation told the Financial
The report did not specify what assets Sinopec might bid for, or
how much the company's bid would be. CHK officials would not
comment on the report, according to Reuters.
The company previously has said it plans to sell up to $11.5
billion in assets to generate fresh capital and fill a funding
Copyright (C) 2014 MTNewswires.com. All rights reserved. Unauthorized reproduction is strictly prohibited.